tv Special Report With Bret Baier FOX News January 21, 2011 6:00pm-7:00pm EST
>> glenn: there is one other story we haven't told tonight. tyler, a 9-year-old boy i met, coincidence, that couldn't hear. there is a lot to be told there. we're not ready yet. but you can follow his journey at glennbeck.com. from new york, good night, from new york, good night, america. captioned by closed captioning services, inc >> shannon: president obama goes to general electric plant to talk about the economy. and nuclear talks with iran resume, look at a nuclear option for regime change. live from the steward owe in washington, this is "special report" -- studio in washington, this is "special report." i'm shannon bream in for bret baier. president obama is finding himself outnumbered tonight, fighting two opponents, an economy he admitted today isn't growing fast enough, and public increasingly skeptical he can fix it. white house correspondent wendell goler reports on the president's latest effort to tour both things around.
>> reporter: he toured an 100-year-old plant thomas edison built to make lightbulbs that now lights generator. his tour guide jeffrey immelt sells most of them overseas and will head a new white house counsel that aims to boost trade and more jobs across the country. >> as part of the deal in india, g.e. will sell advanced turbines, the ones you guys make to generate power at a plant in independeia. that new business will help support 1200 manufacturering jobs and 400 engineering jobs in this community. because of that sale. >> reporter: the fox news opinion die familiaric poll, suggests that the americans are just as disappointed in the economy as they were a year ago. mr. obama suggests that the council intends to change that. >> the past two years were about pulling the economy back from the brink.
the next two years, our job now is putting our economy in overdrive. >> reporter: the council replaces paul volcker's economic recovery advisory board which helped guide the country out of the recession. the 83-year-old former fed chairman wanted more influence in decision-making. critic say any influence immelt has is too much. >> he will cut in half the value of general electric. it was $40 a share when he took oaf and when jack welsh retired. it's been bumping around along $20 for a number of years. >> reporter: some see the immelt appointment as reaction to the mid-term election losses that push president toward the center and led him to make peace with business. he didn't move far to find immelt. one thing the white house really likes about immelt is g.e. bucked the trend about outsourcing. >> this company brought jobs
back from overseas to the united states. that's important. >> the chamber of commerce called immelt counsel a promising step but others worry about the support for carbon tax to make the green energy sources competitive, and it would amount to energy tax, which could cost jobs, not create them. shannon? >> shannon: wendell goler live at the white house. thank you. fox news poll that wendell cited asked about the effects of the president's policies. 28% of those surveyed said that they had helped the national economy. 32% said they hurt it. 37% said no difference. 13% said the president's policies helped. 60% said they made no difference. the phrase "too big to fail" bantied around a lot since the financial collapse. but now it may be applied to states underwater with huge debt and looking for a way out. jim angle tells us how they got there.
>> state and local governments are struggling. california governor jerry brown declared fiscal emergency and proposed spending cuts. it's hit many hard and they are scrambling to bay pills but the option to -- bay pills but option to -- options are limited. >> in illinois there is a 70% increase in income tax. >> that can only go so far before the taxpayers revolt, so many worry about the states coming to the federal government to seek a bail-out. >> the pressures are so strong, i think you will hear more and her about this possibility over time. >> republicans lawmakers made clear it won't happen. >> should taxpayers in indiana who paid their bill on time and done their job fiscally be bail out californians who haven't? no. >> so what could the states do if they try all the alternatives and still can't pay the bills?
former budget director peter orszag notes, "contrary to what pundits to suggest -- it's difficult for state to default. they'd have to stop paying employees before they stop making debt payments." some say the law should be changed to allow states to declare bankruptcy. rose says there is no serious consideration of that for now and doesn't see it coming until states exhausted all the other possibilities, such as tax increases and spending cuts. >> zero chance that congress will pass a bankruptcy law for states absence of the crisis from the state that prompts it. >> one republican lawmaker said he will have hearing. lamar smith, chairman of the house judiciary committee says while bankruptcies for state may seem like an an earntive alternative to bail-out, there are constitutional concerns that should be addressed by congressional hearings. smith worries it might
encourage irresponsible spending by the state. rove notes talking about bankruptcy makes it harder for states to borrow money because lenders fear they'll never get paid back. shannon? >> shannon: jim, thank you very much. congressman paul ryan will deliver the republican response to "state of the union" address. he is chairman of the house budget committee and he will speak from the committee hearing room. the government says labor unions dropped their workforce to 11.9% down from 12.4% in 2009. union membership fell to a low not seen since 1930s. stocks end the week mixed. dow gained 49. s&p 500 added 3. nasdaq gave back 14-3/4. american officials are calling the talks with iran an impressive.
amy kellogg looks at a session with a lot of talk but not much to show for it. >> talks kicked off today again. not in western capital but heart of the moderate islamic country. long day of meeting with a break for prayers. with iran now more than ever feeling the bite of sanction and interim strife in the government, it might be a good time for a deal. or maybe not. >> they are under pressure. iranians resist pressure well and say they won't compromise. >> despite the stories of economic gloom, envoys at the talk insisted things are going their way. >> even what happened in the past in the geneva talks and what i see now, the gap is narrowing. they agree that the olsy of sanctions is ineffective. >> iran is fighting hard to get the sanctions removed. they are there because the world expects iran uranium, not for fuel but for bomb.
iran points out it cannot trust the west and question while pakistan is allowed to have nuclear weapons. p-5 offered to take the uranium off its hands and turn it to specific fuel care on needs for medical applications. a swap that could have made everyone happy for a while and built confidence. iran, so far haven't accepted the offer. package of incentive for iran is on table. >> some diplomats said a good result of the talks would be resuscitation of the fuel swap deal and an agreement from iran to really address the concerns of the international community about its nuclear program. even if it is achieved it's still far from the original demap they cease enriching uranium altogether. in turkey, amy kellogg, fox
news. >> shannon: many experts feel talk with iran is waste of time. new push with the old strategy summed up by the phrase enemy of my enemy is my friend. jennifer griffin explains. >> reporter: the panel included national security experts from the clinton, bush and obama administration. the conclusion talking to iran may not work. >> he who turns the other cheek, gets hit with the other fist. i'm tired of turning the other cheek with iran is concerned. >> he described how he and secretary of state hillary clinton were repeatedly snubbed by the iranian who they tried to engage. a panel suggested that no american president authorized would be support for a controversial group of iranian dissidents, called m.e.k., who are placed on the u.s. sponsor of terror list in 1997 when the clinton administration was trying to engage iran. in the 1970s, m.e.k.
assassinated a number of american military attaches and oil executives. after iran revolution, they turned on the mullahs and ki was them of collaborating to kill nuclear physicist working on the nuclear program. a charge the m.e.k. denies. former attorney general michael mukasey wants the state department to delist them. >> if the m.e.k. denounces violence as it has and poses no threat to personnel or interest, it's been of affirmative assistance to the united states as it has, why does it stay on the list? >> this is the same group in august of 2002, revealed that iran was enriching uranium at breakthrough for the west and now there calls to take them off the terror list. at the pentagon, jennifer griffin, fox news. >> shannon: british court ruled pakistani refugee can be
exiled to u.s. . virginia teenage who says he was tortured and held against his will in kuwait is back home. 19-year-old goulet muhammad of alex sand dryia arrived and was questioned by the f.b.i. agents. he said the u.s. authorities were responsible for his treatment. he was unable to return home for weeks because officials placed him on the no-fly list. can a tv show commit a crime? we talk about it in the grapevine. but first, she survived a shocking crime. now congresswoman gabrielle giffords embarks on a new journey. [ male announcer ] this is charlie whose morning flight to london starts with arthritis pain... and a choice.
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bullet two weeks ago. we have live report. >> she looked spectacular. great rehab potential. those are the words from the doctors texas institute from rehabilitation and research after they met u.s. representative gabrielle giffords. she was transferred to texas today from arizona, traveling by ambulance along the streets to tucson who were lined with well-wishers who shouted and cheered. the congresswoman heard them inside the blaambulance and the doctor say she smiled and teared up a bit. >> when i drove in the ambulance today and saw reaction to cheering in the streets it confirmed to me, she knows what is going on. >> we learned today that her stay in the intensive care unit will be longer than anticipated. there has been fluid inside her head and drain was installed. as long as a drain is in her head she will not be moved from the i.c.u. you are still talking four to six-month period of rehabilitation and no one can
hazard a guess to the extent she'll recover. shannon? >> shannon: thank you for bringing us the latest. the only company with lethal component for capital injection no longer will make the drug. they plant to resume it in italy but was scratched after the government ruled that the product could not be used in lethal injection. many states run out of it. switching to a different drug may require court approval. oklahoma is the 28th state to file legal challenge against the president healthcare law. it challenges the constitutionality to requirement that all sits have coverage or face penalty. another issue, abortion, playing out an gruesome stage in philadelphia. usual politics are overwhelmed by the shock value of the alleged crimes. doug mckelway has the story. >> reporter: eight-count indictment against the doctor from philadelphia reads like
the script of a horror film. from the building in west philadelphia he performed hundreds of illegal late-term abortions. >> in case after case, the doctor and his assistants induced labor, forced the live birth of viable babies in the sixth, seventh and eighth month of pregnancy. and then killed the babies by cutting in the back of their next with scissors and severing the spinal cord. >> "we ourselves have spectrum of belief of morality of abortion. we find common ground for what happened here and recommend measures to prevent this from happening again." in washington, there similar common grounds. this is gaining a foothold. this days before the rally
here and the pro-life caucus has legislation to ban all funding of abortion government wide and permanently. >> the hope is not only will we completely get federal funding out of this grisly abortion business, if we don't fund it, there will be a 20% reduction when public funding is not available. >> many late term abortions from vided bring dr. gosnell were already illegal. >> there is political that blames partial blame for what happened to the clinic. key employees state of health
could have shut it down but stopped that from what was their support of pro-choice governor. >> still ahead, iranian hostages reexperience some of the first moments of freedom. straight ahead, chicago. whose kind of town? hey boss! do we have aflac? nah. we have something else. but if you're hurt and miss work does it pay cash like aflac does? nah. or let you spend it in any way you want like for gas and groceries? nah. or help with everyday bills like aflac does? nah nah nah. [ male announcer ] there's aflac and there's everything else. visit aflac.com for an agent or quote. aflac!
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>> shannon: president obama warned chinese president hu jintao the u.s. would be compelled to redeploy military forces in asia if they don't take a stand against north korea. senior official says the warning came in a phone call last month and repeated in a private dinner at the white house. president hu spent another stop in chicago, the only stop outside washington. and steve brown reports the cold and windy city and the mayor are a draw for the
chinese leader. >> reporter: if you are wondering why china's president could spend two days in chicago in dead of winter, the answer is richard daley. >> our long range goal is to make chicago the most china friendly city in the united states. >> his vision is it has key business relation with china. >> i can't remember daley visited china four times in six years, making trips to shanghai and elsewhere cultivating relationships with government and business leaders there. >> dealing with chinese people is all about relationship and time. >> it paid off with visit to chicago. there were protests by pro-tibetan and taiwanese, but numbers were small. they spent day showing off the
largest program, largest in its kind of the country. gathering of chinese own businesses in chicago area, 40 in all. another example of the china rapidly growing economy. >> they have one of the fastest growing middle class in the world. all of them are wanting products. >> this week, chicago based boeing landed deal with china and it's a start. et started in chicago. in chicago steve brown, fox news. >> overseas, south korean special forces rescued 21 hostages from heavily armed somali pirates. eight pirates were killed. five captured. no hostages died and only one was wounded.
>> the pam disclosed conversations blair had with the cabinet where he said the west should be gung-ho in toppling saddam hussein. the jokes and fodder surrounding silvio berlusconi turned serious. he is facing charges of an affair with very young moroccan girl. the latest in long line of complaints against him. >> flamboyant billion nave, silvio berlusconi made much of money in television and provided entertainment himself since elected to office. dressing as a pirate, to hide his hair transplant vacationing with tony blair. avoiding the queen of england by yelling "mr. obama" and referring to himself jesus christ of politics who sacrifices himself for the
people. >> very narcissistic personality. he doesn't understand not just why, not just italians but all the world doesn't love him. >> despite berlusconi's pick di -- peccadillos, many love him. he sparked uproar when he called obama sun tanned and didn't understand why anyone took offense. he offended gay groups by claiming it's better to like beautiful women than to be gay. beautiful girls could be the downfall. prosecutors try to show that the prime minister paid for sex with a woman known as ruby, the heart stealer, who was under 18 at the time. it wasn't the first time berlusconi has been accused cavorting the underage females. the uproar hasn't obscured his
supporters. berlusconi barely survived two confidence vote in december said prosecutors are politically motivated as they try to bring him down. even if he were force to resign and the government fell, that wouldn't necessarily mean silvio berlusconi would be out of the political scene. the polls vary but there is a good chance they'll put him back in office. >> shannon: river in australia surged again today causing more flooding. homes and businesses in brisbane were flooded for a second time. as exceptionally high tide combined with yet more rain. is washington turning blind eye to glut of committee? that's next in grapevine. tv show about teenagers that make parents want to close their eyes. should congress get involved? this way, everyone will know out all r great discounts. safe driver, online, homeowner's --
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>> shannon: and now fresh pickings from the political grapevine. it's been said that a done i can is a horse desipe -- donkey is a horse designed by committee. now some worry if they get their tax worth from federal committee. there are 1,000 advisory panels that consisted of 74,000 members. the cost doubled in the past decade to $400 million this fiscal year. utah republican congressman
says, "some serve a legitimate purpose, but most of them are bogus ways for some official to appoint who knows who?" he plans to introduce legislation to require the executive branch to reduce advisory panel. report from last year showed 8% of committee recommendations had been or will be fully implemented. media watchdog group is asking justice department and congress to investigate whether a new mtv show is violating child pornography laws. they are saying it shows too much skin with underage actor in foul language, illegal drug use, illegal activity and thoroughly pervasive sexually content. the youngest star of the show is just 15. taco bell pulled advertising following rumors of a boycott. mtv defends it saying it has real world issues confronting teens in a frank way. finally, the venezuela government demanded private
broadcaster to stop airing girl on soap opera named venezuela with a little dog named little hugo. hugo chavez was not amused calling it horrible. in one way, venezuela is searching for her dog and asking what will become of her without hugo. her friend said you will be free. hugo is messing up everything in the house and making you look bad. 30 years ago more than 50 hostages held in iran for more than a year came to u.s. military academy after they were freed. this weekend, many of them are there again. senior correspondent eric shawn reports from west point. [ cheers and applause ] >> iranian hostages are back. that was the 1981 headline. today, 15 of them were again embraced by a warm welcome. at west point, the entire corps of cadets, 4,400 of them lined the snow-filled campus to greet the group returning for a reunion, marking the
30th anniversary of their freedom. >> i don't see myself as part of history. i know how important this community was, and the whole nation was to following our situation, praying for us, putting up yellow ribbons, waving flags and welcoming us home. >> back then, they arrived to west point to recuperate and be reunited with their families. after being held for 444 days by iranian students who took over the u.s. embassy to protest american support. >> when i was first taken hostage and a gun was thrust to my head, i said this cannot happen. >> he was subject to mock executions. >> for two months we didn't see any light at all. >> in 1981, colonel stafford was a cadet but now is the chief of staff.
>> to physically see the people here and know they were happy and free, made your heart burst. >> the reunwhereon is about catching -- reunion is catching up and telling them about the crisis. >> one thing to learn is being a patriot and having courage to persist in time of difficulty and test of your inner strength. >> message to the cadets, no matter where you are, you will not be forgotten. for iranians, he says i don't forgive them, but i despite the regime. at west point, fox news. two russian astronauts aboard the international space station took a walk outside today after installing a camera and experimental radio system. nasa added one more flight to the shuttle schedule.
the fleet's last mission will be flown by atlantis on june 28. the president focuses on jobs and competitiveness while some states consider throwing in the towel altogether. we talk about it with the all-stars when we come back. [ male announcer ] we gave it more horsepower than any of its german competitors. but it isn't real performance unless it's wielded with precision. the new 2011 lexus is 350. see your lexus dealer. the unlikely birthplace of a fundamental idea. it's where ethel percy andrus found a reted teacher living because she could afford nothing else. ethel couldn't ignore the clear need for health and financial security. and it inspired her to found aarp.
one of the most respected business leaders that earned over the time at this company. >> shannon: talking about jeffrey immelt, heading up general electric to be the head of the counsel of job and competitiveness. the pam, stephen hayes for "weekly standard." nia malika henderson of the "washington post," and syndicated columnist charles krauthammer. happy friday. welcome to all of you. plus or minus, the
appointment? >> what, g.m. rick wagoner wasn't available? he presided over his time as g.e. the market cap has been cut in half. stock is down. there are reasons for it. not the first person i'd turn to. but the bigger point is it's not about the people. there is a new council. it's not about having a new counsel but a new economic philosophy and new economic policy that might do something to turn around the economy. he will have all of the same people telling him the same things they were saying outside of government. immelt is one of the frequent visitors to the white house, giving president obama over the last couple of years that hasn't resulted in the kind of turn-around we need to see to sustain this recovery. or invigorate the recovery. >> shannon: there has been chatter today, questions about the relationship between g.e. and the white house. some raise concerns, with green products. raise red flags for you? >> mel melt has been a -- immelt has been reliable
supporter of obama. he didn't support him on obama care but the trillion-dollar stimulus. he supported him on cap and trade. there weren't even democratic senators who were with obama in all of this. but as a political gesture, this is smart. the 180-degree spin he has done since election day trying to portray himself as centrist to be on good terms and extent business. so he does extension of the bush tax cut and appoints william daily, a banker to be chief of staff and makes nice with the chamber of commerce. appoints a commission that won't make a difference but it has the word "jobs" in it and he pens or signs op-ed piece where he comes out against regulation, which is amusing since he is defending tooth and nail a healthcare reform
he passed that will add probably 100,000 pages of regulation to the books. this is repositioning himself to appear to be pro-business, pro-growth. no longer the old iidealogue because he wants to be re-elected. smart in terms of tactics. >> shannon: whether you're critic or supporter there has been a shift. we have a new poll to talk about. how do you feel about how the president is handle theingy? 47% approve, 53% said they disapprove of what the president has been doing so far. he asked if the obama policies help or hurt the economy, 27% they help, 32% say hurt and the majority think it's negative or hasn't done
anything at all. >> no difference between 37% has to be thorn of the side of the administration. this is the stimulus package that still hasn't trickled down to people. they don't feel. it you hear the president talking more about jobs, jobs, jobs. one thing we saw out of the conversation this week with china and where immelt comes in, is with exports to china and independentia. you will hear him talk about g.e. and the importance of manufacturering jobs and tapping in the market over there. as it was with the foreign policy when the administration came in, they talked about resetting foreign policy. the jury is still out. business leaders are waiting to see.
trying to look and cozy back up with business. looking for donors. he has got, you know, billion dollar campaign to wage. a lot of donors contribute to the campaign if 2008. he looks to the folks to donate again. >> the problem with the mainstream media narrative about this turn he made is perspective. it's not that the government is taking first step to take over one-sixth of the economy but the same thing for hiring chief of staff who were a banker. these are not the same things. he agreed to bush tax cuts he didn't want to agree with. these are not the same things in terms of their relative value. the idea now, we can erase the two years now that i consider reasonably far left from the american perspective
governance with an appointment here, and new council, there it doesn't make sense. >> whoever it will be, will say it's election campaign. it's helped the perception. >> appointing a council called jobs and competitiveness headed by a guy who is already in his pocket is not a change in economic policy. the fact his numbers are, his approval is over 50%. he has had undeniable bump. i tells you how important symbolism and gestures are. >> this is a media issue. the meetia should be scrutinizing this more. >> earlier in week he talked about more business friendly regulations and how it will change. he had this to say about being business friendly today.
>> do everything we can to make it easier to bring folks to market and expand new businesses and grow and hire new worker. quickly. last word to you. does it do enough to convince folks? >> it's a start. jury is still out from the business leaders from the republicans and democrats. we'll just have to wait and see if the reset works. >> less a start than just a pose. >> shannon: i have a feeling that will be quoted. less a start than a pose. >> i don't want to be misunderstood. this is repositioning for perception. >> shannon: thank you. >> perception is politics. >> not in -- [ laughter ] >> in the end, there is a real world. i hate to say it, but there is a real world. >> shannon: put a pause there and come back. we want to know what you think. should states be allowed to declare bankruptcy? vote in the online poll
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>> shannon: every week, viewers vote for your choice in the friday lightning round question. and republican repealed it back in the house so what work do they have ahead? >> they are moving on to replace portion of their repeople and remrplace slogan. one thing that came out of the discussion this week, some republicans are picking up part of the healthcare they like. coverage for seniors on prescription drugs, kids up to 26 can stay on their parents'
plan. i think that, i think it's slightly off message from repeal. the danger here for republicans is whether or not they are going to look like they are trying to relitigate the past, talk about healthcare where obama moved forward to talk about jobs. charles, i know you wrote a column that said repeal, repeal, repeal even if it's boring. >> yeah. look, repeal for republicans, repeal is easy and replace is hard. they will be suggest to same attacks on details as democrats were. tough in the next year. >> shannon: democratic congressman, james mcgovern says he thinks they will repeal and relax. how do they fight that? >> i think he is wrong. the vote from this week was a start, not a pose. there is a hearing scheduled january 25, tuesday.
the budget committee will host foster, chief actuary for med kay/medicaid that is critical of the sustainability of obamacare. you'll see this discussion pick up. >> shannon: coincidence that it falls the same date of the "state of the union"? >> i don't know. good question. >> shannon: next topic is iran. talks in turkey. waste of time or possibility of something productive happening? >> waste of time. but shows the world it's trying. it won't have an effect but you want to show that you are trying to have more support on sanctions if we are going to have any effect on iran, not in negotiations, only in sanctions. >> shannon: are the sanctions finally having an impact? will they allow the people to
suffer and continue with what they want to do the leaders there? >> they seem to be intent on following the same track. there are report that the sanctions are working. really tough, to put in place this summer. i agree with charles. the difference is iran doesn't want to litigate if they have a right to nuclear weapons. everyone else wants to litigate that they don't have that right. it's ground hog day with the p-5 plus one talks every time. >> shannon: at the table we have russia and china who have interest. there were members of congress saying that the country are china, potentially violating current sanction with iran. how much will they do to get serious? >> groundhog day indeed. this is what is happening in the past. russia and china have been the
problem with the p-5 plus one talks. why the most important development on iran did not happen in turkey, but happened in london. tony blair testified in an inquiry about the iraq war and he learned two lessons about iraq. one of the two lessons was the inner relationship between iran and al-qaeda. he said unless you solve the iran problem, you're not going to solve the al-qaeda problem. which is a stunning statement from a world leader who has seen all intelligence on both. >> now on a much lighter note, we have to get to the final topic. silvio berlusconi, the italian prime minister, in trouble with allegations. that he paid underage girl for sex. he has been involved in alleged shenanigans. but not everybody in italy is outraged over this. >> berlusconi, has too much virile. why not me and you, one for me, one for you. i think this.
[ laughter ] >> shannon: charles, you speak italian. we'll start with you. >> i understand italian. this is remarkable. the europeans have a director, roman polansky who rapes a young girl in los angeles and europeans say you have to understand the needs of the artist and we mustn't be judgment. now we have prime minister who was with dalliance with underage ruby. >> the heartbreaker. >> i didn't know ruby was common name in morocco. apparently she is underage. i'm not sure of the details because i'm not keeping up with the latest issue of the factory romano who is hot on the case. i'm as neutral on this as is switzerland. i would say let the chips fall where or however you say it in italian. >> shannon: all right. nia, does this cross over from joking to serious problem? world leader who is constantly being dragged into these things and something that
could be criminal at this point? >> people in italy, like we saw there, are not bothered boy this. 25% say this doesn't matter. other 25% say it's ultimately going to help him. they are used to him being dragged through the mud. in some ways, he is their loveable guy there. >> shannon: all right. steve, i know you are dieing to comment but we are out of time. we'll make sure he gets a comment in somewhere. stay tuned. president obama and hu are up to something behind the scenes that most did not expect. we will give you a scoop up next. i was driving in northern california. my son was asleep.
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>> shannon: finally tonight, presidents h. you and obama were very busy discussing policy issues this week but that's not all. >> half of the american people welcome to the united states. >> watch out, washington, the leader of the free world, barack obama, and the red dragon himself hu jintao are together again. and, this